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| Ledger offers debit card in cryptocurrency |
Ledger has become the latest crypto company to develop a debit card that connects directly to a cryptocurrency wallet.
At the Ledger Op3n conference, the company announced its intention to launch its own debit card, the CryptoLife Card.
In a press release, Ledger said that card users can use cryptocurrency to pay more than 50 million retailers and online stores.
The move is the latest among crypto companies and aims to meet the growing demand for cryptocurrencies as a medium of exchange rather than as a store of value.
Although the company is known for its hardware wallets for cryptocurrency, the company is developing a program called Ledger Live.
The Ledger Live app on computers and mobile phones allows users to send and receive crypto assets.
You can also buy and sell crypto assets through integration with third-party companies.
Ledger Live also supports caching and switching through various partners such as Changelly, Wyre, ParaSwap and 1-inch. Everything is integrated into the hardware wallet to confirm the transaction.
The Ledger debit card was developed in association with fintech company Baanx, which manages the card's operations and infrastructure.
The debit card will be launched in the UK, France and Germany in the first quarter of 2022.
US citizens can obtain the card in the second quarter of 2022.
After receiving your card, you can use BTC, ETH, USDT, EURT, USDC, XRP, BXX, BCH or LTC to recharge through the Ledger Live app.
When you use your card to complete a transaction, the cryptocurrency is instantly converted into a paper amount at the time of purchase.
Cardholders can also pay their salaries directly into the card account. They can convert a certain percentage of their salary into BTC and ETH upon payment.
Use cryptocurrency as collateral for loans
Ledger users who wish to keep most of their funds in crypto assets can also open a line of credit to receive funds through the card. However, you need to deposit a certain amount of cryptocurrency as collateral.
Loan agreements with decentralized finance are usually overvalued in terms of collateral. This means that the amount borrowed from the user should be less than the amount he borrowed from the crypto wallet. Hence it will be interesting to see how it works when the ledger credit feature arrives.
The ledger card and its functionality are a step towards replacing traditional bank accounts. Ledger competes with debit cards from Coinbase, Bitpanda, Binance, Crypto.com, etc.
However, if you use Ledger products, when choosing a debit card, it may be important to have a card that fits in with the Ledger ecosystem.